BUU33522 Management Accounting for Business Decisions II

(5 ECTS)


Dr. Ranadeva Jayasekera         

E-mail: Jayasekr@tcd.ie 
Contact Hours: By appointment (use email to arrange an online appointment)


BUU22530 - Introduction to Accounting
BUU33521 - Management Accounting for Business Decisions I (or equivalent)

Module Description: 

The module builds on previous experience in management accounting, measuring costs and revenues for the decision making process. The module aims to examine and understand the role of budgeting; transfer pricing; variance analysis; divisional performance and strategic financial planning as a critical financial management tools. There is also a focus on the importance of non-financial performance measures.

Learning & Teaching Approach:

Lectures will involve a mixture of lectures, group discussion, worked-through examples and questions. We will review scenarios and compare theory to real life examples. Active participation will be required, i.e. preparation in and attendance at lectures, contribution to class discussions and involvement in group work. Practice problems have been assigned for each topic in the syllabus, and students are recommended to do these before each lecture. This module is an applied field, it is difficult to understand without practicing and applying the knowledge, and therefore examinations will be based on applied knowledge, not general recall. Students will be encouraged to explore and develop their business and personal potential throughout this module.

Learning Outcomes:

  1. Possess an up-to-date understanding of the various budgeting techniques available to an organisation.
  2. Acquire an understanding of management control issues.
  3. Calculate, analyse and apply variances as an aid to decision-making, and explain the importance of qualitative factors in this area.
  4. Gain a sound knowledge of the concept of divisionalisation, various divisional performance measures available to an organisation, whilst addressing the problem of short-termism.
  5. Advise senior management on optimal transfer pricing strategies.
  6. Distinguish between a traditional management accounting system and strategic cost management and understand and apply Life-cycle costing, Environmental accounting in a variety of practical business contexts.
  7. Measure and optimise organisational performance through the use of appropriate strategic performance measurement techniques.
  8. Distinguish between and critically evaluate traditional performance measurement systems and strategic performance measurement systems.
  9. Further developed the technical, analytical and evaluative skills required in the field of management accounting.

Recommended Texts/Key Reading:

Required Core Course Textbook

Drury (2016), Management Accounting for Business (6th edition), South Western Cengage Learning

General Supplemental Readings


Hofstede, G. (1981). Management control of public and not-for-profit activities. Accounting, Organizations and society, 6(3), 193-211.

Theodore H. Poister (2003); measuring performance in public
and nonprofit organizations, Wiley.

It is also recommended that students maintain an awareness of financial matters through regular use of the FT website, and sources such as investopedia.com and finance.yahoo.com.


Examination [100%]: Will test critical understanding and appropriate application of topics covered in the module. During the Trinity Term assessment period commencing from May 2023. Precise venue and time to be announced.